INSIDERS STILL NOT BUYING THE RALLY

Insider selling for the latest weak spiked to $846MM while buying remained abnormally low at $14.7MM. Selling spiked almost three fold, but was highly impacted by $330MM in selling in CBS by Sumner Redstone. Buying, however, fell from $32MM. Of course, it is the low level of buying that is particularly alarming. Insiders continue to exhibit an unusually low level of confidence in their own companies. As valuations spike, and the jobless/revenue-less recovery continues it’s not surprising to see insiders display a high level of skepticism with regards to the rally. This skepticism is most visible through the use of their own personal investment dollars – very few of which are going into their own companies.